4 THE RISE OF RENEWABLES IN THE GULF STATES …
95
some market opportunities, allowing distributed solar energy, in particular, to reach grid parity in a number of tariff segments and markets
between 2014 and 2019.
Taking a step back, this chapter will begin by conducting a review of
the literature on the topic of renewables deployment in the region, and
more specifically in resource-rich states. Though there has been much
written journalistically about renewables in the region, more academic
analysis of renewables in the rentier states of the Gulf is scarce, particularly
through a comparative political lens.
Section “Literature Review” will give a historical overview of renewables deployment in the region over the past decade. This will mostly be a
story of ambitious plans but a mixed record of follow through. A survey
of current levels of utility-scale deployment will give important context
to later discussions, along with an overview of future plans in each of the
GCC states and an assessment of the credibility of these plans. The section
will conclude with a similar survey of distributed renewable generation
and policy across the GCC states.
Section “Renewables Development Over the Last Decade in the GCC”
will then look closely at the Saudi case, both because of its size, and
because it lies roughly in the middle of the 6 GCC states in terms of fiscal
buffers. The early challenges facing utility-scale projects will be examined, as well as the viability of the solutions that have been put in place,
and the obstacles that remain a hindrance to achieving the Kingdom’s
stated goals in the future, including inter-institutional competition and
historically weak private sector participation in the energy sector.
The period between 2016 and 2020 has seen the UAE make considerable tangible progress toward renewables targets both at the utility and
distributed scales, setting it apart from the other states in the region.
Section “What Is the Picture Like Today?” will seek to explain why,
despite seemingly similar underlying political economic models, the UAE
has been able to surge ahead; and what lessons this offers to the other
GCC states.
Literature Review
A starting point of reference for this chapter is the well-established literature on the social contract in the rentier states of the Gulf. Beginning
with the work of Beblawi and Luciani and looking particularly at the work
of Steffen Hertog, 2 the distributive and clientelistic nature of these states
95
some market opportunities, allowing distributed solar energy, in particular, to reach grid parity in a number of tariff segments and markets
between 2014 and 2019.
Taking a step back, this chapter will begin by conducting a review of
the literature on the topic of renewables deployment in the region, and
more specifically in resource-rich states. Though there has been much
written journalistically about renewables in the region, more academic
analysis of renewables in the rentier states of the Gulf is scarce, particularly
through a comparative political lens.
Section “Literature Review” will give a historical overview of renewables deployment in the region over the past decade. This will mostly be a
story of ambitious plans but a mixed record of follow through. A survey
of current levels of utility-scale deployment will give important context
to later discussions, along with an overview of future plans in each of the
GCC states and an assessment of the credibility of these plans. The section
will conclude with a similar survey of distributed renewable generation
and policy across the GCC states.
Section “Renewables Development Over the Last Decade in the GCC”
will then look closely at the Saudi case, both because of its size, and
because it lies roughly in the middle of the 6 GCC states in terms of fiscal
buffers. The early challenges facing utility-scale projects will be examined, as well as the viability of the solutions that have been put in place,
and the obstacles that remain a hindrance to achieving the Kingdom’s
stated goals in the future, including inter-institutional competition and
historically weak private sector participation in the energy sector.
The period between 2016 and 2020 has seen the UAE make considerable tangible progress toward renewables targets both at the utility and
distributed scales, setting it apart from the other states in the region.
Section “What Is the Picture Like Today?” will seek to explain why,
despite seemingly similar underlying political economic models, the UAE
has been able to surge ahead; and what lessons this offers to the other
GCC states.
Literature Review
A starting point of reference for this chapter is the well-established literature on the social contract in the rentier states of the Gulf. Beginning
with the work of Beblawi and Luciani and looking particularly at the work
of Steffen Hertog, 2 the distributive and clientelistic nature of these states